VCM21010 - EIS: general: procedure: requests for advance assurance: general

Companies that are hoping to attract subscriptions under the EIS are encouraged to seek an assurance from HMRC, in advance of inviting applications for shares, to the effect that it is accepted that the conditions of the scheme will be satisfied. As regards the exact nature of the assurance that is available, see VCM21040.

Requests can be dealt with only if they come from the company's secretary or directors or from some person authorised by them to negotiate with HMRC on their behalf. The rules of confidentiality apply, and potential investors making enquiries about a company should address those enquiries to the company itself.

It is not necessary for the request to identify the intending subscribers, and no assurance as to the availability of relief to a particular subscriber can be given either to the company or to the subscriber in question.

Form EIS(AA) is available on the HMRC website for companies who wish to make an application for an advance assurance. It is not compulsory to use it but companies are recommended to do so as a useful way of giving all the information needed.

That form mentions the company’s need to be able to complete the declaration on form EIS1 when shares are issued. Form EIS1 is also on the website - see VCM21000.